Despite the ongoing uncertainty over the COVID-19 pandemic, growth in global construction output will reach 5.7% in 2021, following the 2.4% drop in 2020. Although recovering from the COVID-19 crisis, the global industry has borne a huge cost in terms of foregone revenue, says GlobalData, a leading data and analytics company.
According to GlobalData’s latest report, ‘Global Construction Outlook to 2025’, global construction will continue on a recovery path, following the historic collapse in activity in 2020 amid the severe disruption caused by restrictions imposed to contain the spread of COVID-19. From 2022 to 2025, global output growth is predicted to average 3.7% a year.
Danny Richards, lead economist at GlobalData, said, “The forecast for global construction output is predicated on the assumption that governments and public health authorities will not reintroduce strict lockdown policies and that construction sites will be able to continue to operate with minimal disruption.”
Many markets have managed to regain growth momentum and have already returned to pre-Covid-19 levels. Out of 65 markets that have produced quarterly data for the first quarter of 2021, 25 had recorded year-on-year (Y-o-Y) growth in that period, including China, France, Italy, India and Saudi Arabia.
Richards added that, “With activity levels trending upwards in the absence of restrictions on site works, there are likely to be record high rates of Y-o-Y growth in major markets in the coming quarters given the comparison to periods last year when construction sites were closed or when activity was severely disrupted.”
The report does acknowledge that, apart from Covid-19, the industry has a number of issues. These include disruptions to supply chains, high prices for construction materials and demand for some materials, such as steel, timber, cement and aggregates, higher than supply.
Source:
https://www.worldcement.com/europe-cis/28072021/globaldata-global-construction-industry-to-grow-by-57-in-2021/
https://www.international-construction.com/news/global-construction-industry-to-grow-by-57-in-2021/8013775.article
